Since Henry Ford made the first automotive affordable to everyone, we as Americans use him as a pure golden entrepreneur. He is what a true entrepreneur does. He takes a certain item and makes it easy for everyone else to incorporate it into their daily life. A modern day version of this is Bill Gates and Microsoft.
Henry Ford, as messed up politically as he was, lived the American dream. He was Depression proof. The only time that he found trouble was then he wouldn’t offer anything new. His famous quote was that you could have the Ford Model T in any color that you want as long as it was black. Other car companies with their own entrepreneurship saw this as an opening and offered different colors and variations. This is how the market works, a consumer demands something the consumer gets something. Henry Ford soon learned his lesson and created the Model A.
Fast forward to today, the United States car industry as a whole is in major trouble. The government is considering a bailout to save them. Even though Henry Ford was a true believer in “corporate welfarism” and the socialist/facist tendencies of Hitler, he never recieved a dime from the government. He innovated and brought a new competitive model to the forefront. He knew if he did this he would fail.
Bailing out the automotive industry in the United States is not an argument that our economy would collapse without them. It is an argument to save the American dream that Henry Ford created. This is false. The American dream is about innovation and competitivity. You make a product that everyone wants and the sky is your limit. The current automotive industry has not made what a lot of people want. They have not offered the best affordable quality car. Other countries are beating them by far and it is finally wearing on them.
If we want these companies to truly be the entrepreneurial American dream genius it once was, we must make them innovate on their own. When you give government funds to one company (who are domestic) and not to ther others (which are foreign), you distort the market.
These companies will not innovate, they will continue to suck from the government. Nothing is better than free money. That is exactly what we are offering them. In fact, we are rewarding them for not creating a competitive product in the market. We are telling Toyota, Honda, and others that they are being too efficient.
What the automotive industry in America needs to do is innovate or die. This is what Henry Ford faced and this is what they should face today. This will bring a rerise to Ford.
Is it possible that this will not happen? Absolutely, but they should not be treated different than any other industry in America. If you make poor decisions, you must fail. If there is a market and a possiblity for a affordable efficient quality American car. Someone will come along and make it like GM and Chrysler did before. If their isn’t then we should use those resources and man power to produce something else great.
This is how the free market works and it is not a bad thing. It is the reason why these companies ever existed at all. The fact that these companies are holding their hands out to the government and taxpayers for help instead of providing them a quality good is a disgrace to the American Dream.